LAS VEGAS, Aug. 1, 2015 /PRNewswire/ -- Caesars
Entertainment Corporation (NASDAQ: CZR) ("Caesars
Entertainment") and Caesars Entertainment Operating Company,
Inc. ("CEOC") have entered into an amended Restructuring
Support Agreement ("RSA") with First Lien Noteholders. The
agreement reaffirms support of CEOC's largest creditor
constituency and, along with the recently announced Second Lien
Noteholder restructuring support agreement, provides a continued
platform for a consensual restructuring.
Pursuant to the RSA, the Noteholders, Caesars Entertainment and
CEOC have agreed to a revised set of case milestones in addition to
several significant enhancements to the transaction for the benefit
of all creditors, including the First Lien Noteholders, First Lien
Bank Lenders and Non-First Lien Noteholders. The RSA and a summary
of the transaction are available in the Media Resources section of
the CEOC Restructuring Web site at
http://www.ceocrestructuring.com/media-resources/.
Today's agreement demonstrates Caesars Entertainment and CEOC's
ongoing efforts to complete the restructuring of CEOC consensually
and expeditiously. This process is supported by a significant
constituency of CEOC's creditors and Caesars Entertainment and CEOC
look forward to continuing to build consensus around this proposed
restructuring plan.
About Caesars Entertainment Operating Company
Inc.
Caesars Entertainment Operating Company, Inc. ("CEOC"), a
majority owned subsidiary of Caesars Entertainment
Corporation, provides casino entertainment services and owns,
operates or manages 44 gaming and resort properties in 13 states
of the United States and in five countries primarily
under the Caesars, Harrah's and Horseshoe brand names. CEOC is
focused on building customer loyalty through providing its guests
with a combination of great service, excellent products,
unsurpassed distribution, operational excellence and technology
leadership as well as all the advantages of the Total Rewards
program. CEOC also is committed to environmental sustainability and
energy conservation, and recognizes the importance of being a
responsible steward of the environment.
About Caesars Entertainment
Caesars Entertainment Corporation (CEC) is the world's most
diversified casino-entertainment provider and the most
geographically diverse U.S. casino-entertainment company. CEC is
mainly comprised of the following three entities: the majority
owned operating subsidiary Caesars Entertainment Operating
Company, wholly owned Caesars Entertainment Resort
Properties and Caesars Growth Properties, in which we
hold a variable economic interest. Since its beginning
in Reno, Nevada, 75 years
ago, CEC has grown through development of new resorts, expansions
and acquisitions and its portfolio of subsidiaries now operate 50
casinos in 13 U.S. states and five countries. The Company's resorts
operate primarily under the Caesars®, Harrah's® and Horseshoe®
brand names. CEC's portfolio also includes the London Clubs
International family of casinos. CEC is focused on building
loyalty and value with its guests through a unique combination of
great service, excellent products, unsurpassed distribution,
operational excellence and technology leadership. The Company is
committed to environmental sustainability and energy conservation
and recognizes the importance of being a responsible steward of the
environment. For more information, please
visit www.caesars.com.
Forward Looking Information
This release includes "forward-looking statements" intended to
qualify for the safe harbor from liability established by the
Private Securities Litigation Reform Act of 1995. You can identify
these statements by the fact that they do not relate strictly to
historical or current facts. These statements contain words such as
"may," "will," "expect," "believe," "would," "estimate,"
"continue," or "future," or the negative or other variations
thereof or comparable terminology. In particular, they include
statements relating to, among other things, the proposed
restructuring of CEOC and future outcomes. These forward-looking
statements are based on current expectations and projections about
future events.
Investors are cautioned that forward-looking statements are not
guarantees of future performance or results and involve risks and
uncertainties that cannot be predicted or quantified, and,
consequently, actual results may differ materially from those
expressed or implied by such forward-looking statements. Such
risks and uncertainties include, but are not limited to, the
following factors, and other factors described from time to time in
the Company's reports filed with the Securities and Exchange
Commission (including the sections entitled "Risk Factors" and
"Management's Discussion and Analysis of Financial Condition and
Results of Operations" contained therein):
- the outcome of currently pending or threatened litigation and
demands for payment by certain creditors against CEC and by the
National Retirement Fund;
- the effects of CEOC's bankruptcy on CEOC and its subsidiaries
and affiliates, including Caesars Entertainment, and the interest
of various creditors, equity holders and other constituents;
- the ability to retain key employees during CEOC's
restructuring;
- the event that the restructuring of CEOC may not be consummated
in accordance with its terms, or persons not party to the agreement
described in this release may successfully challenge the
implementation thereof;
- the length of time CEOC will operate in the Chapter 11 cases or
CEOC's ability to comply with the milestones provided by the
restructuring support agreement;
- risks associated with third party motions in the Chapter 11
cases, which may hinder or delay CEOC's ability to consummate its
restructuring plan as contemplated by the restructuring support
agreement;
- the potential adverse effects of Chapter 11 proceedings on
Caesars Entertainment's liquidity or results of operations;
- the effects of Bankruptcy Court rulings in the Chapter 11 cases
and the outcome of such cases in general;
- the effects of local and national economic, credit and capital
market conditions on the economy in general, and on the gaming
industry in particular;
- the financial results of CGP LLC's business;
- the impact of our substantial indebtedness and the restrictions
in our debt agreements;
- access to available and reasonable financing on a timely basis,
including the ability of CEC to refinance its indebtedness on
acceptable terms;
- the ability of our customer tracking, customer loyalty, and
yield management programs to continue to increase customer loyalty
and same-store or hotel sales;
- changes in laws, including increased tax rates, smoking bans,
regulations or accounting standards, third-party relations and
approvals, and decisions, disciplines, and fines of courts,
regulators, and governmental bodies;
- our ability to recoup costs of capital investments through
higher revenues;
- abnormal gaming holds ("gaming hold" is the amount of money
that is retained by the casino from wagers by customers);
- the effects of competition, including locations of competitors,
competition for new licenses, and operating and market
competition;
- the ability to timely and cost-effectively integrate companies
that we acquire into our operations;
- the potential difficulties in employee retention and
recruitment as a result of our substantial indebtedness or any
other factor;
- construction factors, including delays, increased costs of
labor and materials, availability of labor and materials, zoning
issues, environmental restrictions, soil and water conditions,
weather and other hazards, site access matters, and building permit
issues;
- litigation outcomes and judicial and governmental body actions,
including gaming legislative action, referenda, regulatory
disciplinary actions, and fines and taxation;
- acts of war or terrorist incidents, severe weather conditions,
uprisings or natural disasters, including losses therefrom, losses
in revenues and damage to property, and the impact of severe
weather conditions on our ability to attract customers to certain
of our facilities, such as the amount of losses and disruption to
our company as a result of Hurricane Sandy in late October 2012;
- the effects of environmental and structural building conditions
relating to our properties;
- access to insurance on reasonable terms for our assets;
and
- the impact, if any, of unfunded pension benefits under
multi-employer pension plans.
Any forward-looking statements are made pursuant to the Private
Securities Litigation Reform Act of 1995 and, as such, speak only
as of the date made. Caesars disclaims any obligation to
update the forward-looking statements. You are cautioned not
to place undue reliance on these forward-looking statements, which
speak only as of the date stated or, if no date is stated, as of
the date of this filing.
Source: Caesars Entertainment Corporation; CZR
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SOURCE Caesars Entertainment Corporation